Assume you're in Apple's marketing department. How would you differentiate an iPhone from a 3G iPod Touch? Think hard about features, pricing and how the market

Assume you're in Apple's marketing department. How would you differentiate an iPhone from a 3G iPod Touch? Think hard about features, pricing and how the market is likely to react. Do you have two distinct products that can be marketed at the mainstream? The iPhone is basically everything a 3G iPod Touch would be. When I hear people clamoring for a 3G iPod Touch it sounds a lot like complaining over the contract and high monthly cost associated with the iPhone. It's a perfectly reasonable gripe, but understand that a poweruser who wants to use an iPhone sans phone for VOIP calls and mobile net access is not Apple's target consumer.